2007/01/31 Council Agenda Packet

EVERETT CITY COUNCIL AGENDA ITEM COVER SHEET PROJECT TITLE: 6 A Resolution authorizing the sale of Consent COUNCIL BILL# certain real property located along x Action Originating Department Engineering the Snohomish River between First Reading Contact Person Dave Davis Rotary Park and Pacific Avenue _ Second Reading Phone Number _425 257-8913 (generally known as the Riverfront _ Third Reading FOR AGENDA OF Jan.31, 2007 Properties)pursuant to a Property Public Hearing Disposition Agreement Initialed by: Department Head CAA Council President Location Preceding Action Attachments Department(s) Approval Everett June, 2005; City selects OM and signs an Agreement Legal, Planning, Parks, Riverfront Exclusive Negotiating Agreement Resolution Engineering, Public Properties June, 2006; City and OM sign MOU Exec. Summary Works Nov, 2006; City Council passes Resolution 5834 Amount Budgeted Expenditure Required Account Number(s): Budget Remaining Additional Required DETAILED SUMMARY STATEMENT: The City owns 221 acres of property adjacent to the Snohomish River assembled over the years for the purpose of redevelopment. The assembled property includes portions of the former Simpson Mill site, the former City landfill site, former Eclipse mill site, former BNSF rail right-of-way parcels and certain waterfront parcels ("Riverfront Properties"). The City's adopted vision for the property includes a high quality, master planned"lifestyle entertainment center," and a"high quality mixed use office/residential development." Following a public solicitation for an experienced developer of commercial, retail and residential properties that was interested in redeveloping the Riverfront properties, the City selected OliverMcMillan, LLC and entered into an Exclusive Negotiating Agreement on June 15, 2005. Resolution 5834,passed on November 15, 2006, declared that the sale of the Riverfront properties is in the best interest of the City. The proposed sale of the Riverfront Properties would be accomplished through the execution of the attached Property Disposition Agreement. This Agreement imposes certain conditions and allocates responsibilities to both OliverMcMillan and the City in the proposed sale of the Riverfront properties. One of these conditions is that OliverMcMillan develop the Riverfront properties pursuant to a specific development program that will result in a high quality, mixed-use residential and retail project that is environmentally sensitive. Under the attached Agreement, OliverMcMillan would dedicate back to the City portions of the Riverfront properties so that the City can build and maintain a three-acre park, trails and bike paths, and other public amenities. See also the attached Executive Summary. The proposed Resolution would authorize the sale of the Riverfront Properties to OliverMcMillan and authorize the Mayor to execute the Property Disposition Agreement and collateral documents required to complete the sale, including an Environmental Indemnification and Landfill Agreement that will be completed prior to closing. The attached Property Disposition Agreement is in draft form and the final agreement will be provided to council prior to the January 31St council meeting. 0 RECOMMENDATION (Exact action requested of Council): Adopt a Resolution authorizing the sale of certain real property located along the Snohomish River between Rotary park and Pacific Avenue(generally known as the Riverfront Properties) pursuant to a Property Disposition Agreement.